Financial, markets, impact of environmental stability on economic development and sustainable development goals, evidence from developed and emerging countries
DOI:
https://doi.org/10.23925/2179-3565.2024v15i3p78-97Keywords:
Foreign Finance, SDGs, Environmental policy, Market-Economic SustainabilityAbstract
The study seeks to investigate the developed and emerging countries forecasting the financial business market, environmental strategy and impact on sustainable development Goals and the country's economic development from 1991 to 2021. Annually date of Stock Market Index, exchange rate index, Sustainable development index, eco-efficiency and Countries GDP of developed countries, i.e. UK, USA, Canada, Australia, Japan, Germany, France and emerging countries, i.e. Brazil, Malaysia, Thailand, Philippines, China, Indonesia, India, and Pakistan has been considered as sample data for this study. Unit root test (ADF) for stationary test, Johansen’s Co-integration test, Granger Causality, GMM (panel data) applied to test the short run/long-run impact, association, and behavior of variables. Models 1& 2 result of finance sustainability with Stock Market Index, exchange rate index, SDGs ~ GDP, and eco-efficiency indicates highly significant and asymmetrical relationships exist with countries growth as similar with Models 3 & 4 SDGs. UK, France in developed markets and India, Thailand and Malaysia in emerging countries markets high influencing potential. Meanwhile, Australia and USA in developed and China, Indonesia, and Pakistan Markets in emerging have more space for investor. The Robustness test validates the finding of study. Financial sustainability implication and recommendation are cleared for investors; forecast market behavior, financing efficiency, investment diversification, multi corporations and exchange management have make significant investment decision. Further, these finding helps policy makers and regulatory authorities to design appropriate finance strategies for market-economic sustainability.
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